ABSTRACT
Public tax dollar investment in a recreational facility may depend on the perceived social and economic benefits that will accrue to the local populace. This chapter describes how a theoretical and empirically based analysis of the local economic impact of a recreational facility can be accomplished. The discusses the relevant concepts involved, define economic impact, outline the empirical problems, and provide appropriate measurement techniques. The local economic impact of an outdoor recreation facility measures the economic consequences to an area due to the establishment of an outdoor recreation facility, excluding the benefits which accrue to local users of the project. Indicators such as travel patterns, population groupings, and the location of complementary tourist facilities could be used to outline the area of economic impact. In most economic base studies the basic sector is made up of primary or secondary agriculture, industry, and manufacturing, with the retail and service sectors making up the nonbasic sector.
